The Nikkei Online Edition, Nikkei.com

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The Nikkei Online Edition, Nikkei.com www.nikkei.com May 27, 2010 Nikkei Inc.

NIKKEI OVERVIEW

NIKKEI Leader in Quality Media Founded in 1876 3,411 employees, as of December, 2009. 2 Head Offices, 5 Branches, 54 Domestic Bureaus, 33 Overseas Bureaus Sales JY177 billion = EUR 1.42 billion, FY2009. Providing content through various channels Group subsidiaries include, broadcasting, electronic media, publishing, etc.

Global Network

Content Delivery

Five Newspapers Circulation: 3,045,821 ABC Dec.,2009

Consumer Digital Service Japanese English

B2B Online Service Nikkei Telecom 21

The Nikkei Online Edition

The Nikkei Online Edition Launch, March 23, 2010 Web version of The Nikkei, our flagship newspaper. To charge readers for full access to newspaper content. Inherit from Nikkei NET, a free news site since 1996. The first paid major news site in Japan Have to overcome Content on the Internet is free mentality. To secure current print subscription revenue. First monthly subscription started May 1, 2010 Content Platform Aggregate content from the Nikkei, our 3 other papers, magazines, market data, video clips of our group companies and other many sources.

Business Model Hybrid Model = Readers Pyramid Combine metered model (FT) and subscriber-only content model (WSJ). Non registered readers only can access free content. Registered readers can read free content and a limited number of subscriber-only articles. Subscribers have full access. Subscriber Registered Non registered

Content / Editing 3-D Editing One stop service; provide a news story w/ back ground story, commentary, follow-up, related archive, photo, video, data, and reader s comment. 24/7 update; filing stories every hour, every minute. Integrated News Room Senior editors have responsibility for deciding which content is published and how it is treated both in print and online.

Content / Editing Advanced Personalization Each reader receives unique news list that are likely of interest to them. Based on their demographic data, reading preferences. Next generation recommendation system enable us to add rational noise on unique recommended news items so that readers maintain social interest. New Advertising Standards Lower fire wall b/w editorial and advertising.

Dual User Interface Content / Editing Web format and print layout.

New Reading Style Scan in print layout, read in web format Find article you want to read and click

Sales & Marketing Strategy Bundle Discount Print subscribers have full access w/ small charge. Online Edition Only subscription Print Edition Only subscription Delicate formula for avoiding cannibalization User Data Marketing Registered readers provide demographic data. Explore behavioral and demographic targeting ad.

Ubiquitous Access Device Strategy Readers want to consume news whenever, wherever, however, w/ whatever device is appropriate. With single ID, readers can log in PC, Mobile Phone, Digital TV and E-Reader.

Contents Aggregation Strategy FT Syndication with Global Media Financial Times Forbes more to come soon Forbes

Open Platform Strategy Standard Newspaper Service Platform Open to other Japanese newspapers in the future. Provide content management and payment system.

Features of The Nikkei Online Edition

Non-subscriber/Subscriber

Web Edition Up-to-date, in-depth news, updated 24/7.

Specific Sections Information from group companies included in specific sections.

Print Layout Viewer Customized viewer to mimic the print layout. Enlarge to read, flip like the paper.

My Nikkei - Personalization Personalized page based on user demographics and reading preferences.

Archives Five year archives of news articles, stock quotes and personnel information.

E-mail Newsletters and Alerts Newsletters and alerts sent to either PC or mobile e-mail addresses.

Mobile Service Most of the news content is available on the Japanese mobile web technology.

Updates Official Release on April 17th Trial subscribers: over 60 thousand Registered users: over 300 thousand Trial subscriber demographics: Over 40 years old: over 50% 20-39 years old: over 30% People working: approximately 80% Managers or above: over 40%

Challenges Ahead Advertising Revenue Convert quality audience into higher CPM. Best monetization model of customer data. Best use of Social Services Global: Twitter, Facebook, etc. Domestic: mixi, hatena, etc. Supporting new devices, including iphone/ipad and Smartphones